Welsh Secretary David Jones will meet former ASW workers on Monday as a new chapter opens in the ex-steelworkers’ fight for pensions justice.

Welsh Secretary David Jones will meet former ASW workers on Monday as a new chapter opens in the ex-steelworkers’ fight for pensions justice.

The meeting comes as former Wales Office minister and Conservative Cardiff North MP Jonathan Evans is referring the matter to the European Commission.

Mr Jones pledged he would be “listening carefully” when he met with the campaigners in Cardiff.

Mr Evans, a solicitor and a pensions specialist who formerly led the Conservative group in the European Parliament, is adamant that the workers are entitled to 100% of their pensions.

Former ASW worker John Benson, 66, has also received a personal message from former Conservative Welsh Secretary Cheryl Gillan .

It states: “I am so sad I could not achieve more for you and your colleagues. It seems so unjust.

“I will support you still if there is any other way in which you can raise the issue.”

Mrs Gillan told the Western Mail: “I just think it’s a terrible situation they find themselves in... I’ve really felt for them for a long time.

“I did try. I failed, but I don’t think everybody has to fail...

“We have a new Secretary of State so he can have a go.”

Cardiff North’s Mr Evans said: “I hold to the simple principle on pensions matters that if people are told if you make this contribution this is what you receive, that’s what you call an accrued right.”

He continued: “I think John Benson is quite right to say the indications very clearly given to them was the missing element would be restored to them in the event of a change of Government... Since we’ve got into Government everybody is saying we feel very sorry for them but the difficulties in the economic situation means nothing can be done.

“I don’t accept that.”

A Wales Office spokeswoman said: “The Wales Office has had several previous meetings with the ASW pensioners. The Secretary of State for Wales looks forward to further discussions, when he will be listening carefully to what they have to say.”

The campaigners fear that they will not receive 90% of their expected pension under Financial Assistance Scheme (FAS) because of the impact of inflation. Instead, they are concerned they may only receive half the amount they were due.

Saga director general Ros Altmann, a pensions expert who has supported the campaign, confirmed that the introduction of the FAS has not delivered the results the employees had wanted.

She said: “I’m afraid that many of those affected by the loss of their ASW pension are still waiting to receive the promised 90% of their lost pension. The inflation linking has been reduced and many of the benefits that were attached to their scheme are not replaced by the FAS.

“However, in the current fiscal circumstances, the Government is adamant that it will not pay any more. However, they do seem to be considering the possibility of increasing the benefit cap in the Financial Assistance Scheme.

“This would not help most of those who have lost out, however, since their pensions were well below the cap.”

Steve Webb, Liberal Democrat pensions minister, said: “When companies like ASW go bust – through no fault of the workers – it’s only fair the Government steps in to protect them. The Financial Assistance Scheme was set up to ensure members get 90% of their expected pension.

“While this may not replace everything, our commitment of around £2bn to FAS payments has provided help to around 160,000 members who would have otherwise received little, or nothing from their scheme.”

Ahead of the meeting, Mr Benson warned that the UK Government coalition will be punished at the ballot box by an “army of pensioners” angry that they have been betrayed.

He said: “At the last general election there were possibly hundreds of thousands of people who, like those from ASW and their families, voted Conservative and Liberal Democrat and thought they must give them a chance to honour their promises to us when in opposition.

“Obviously, we were wrong to believe their fine, fine words... At the next election I can assure coalition ministers and MPs, there will be an even bigger army of pensioners, who will not forget how betrayed they have been by the coalition.”

Conservative Assembly leader Andrew RT Davies has written to the Welsh Secretary ahead of the meeting asking that this “longstanding injustice may be redressed.”

Welsh Liberal Democrat leader Kirsty Williams said: “The Alliance Steel Worker’s campaign certainly has my support. The formation of the Financial Assistance Scheme was a welcome first step, but there is still more that can be done.

“It is paramount that the UK Government works with ASW representatives to finally put this matter to rest.”

Plaid Cymru MP Hywel Williams said: “We are at the threshold of a new long term pension settlement. But the case of the ASW workers casts a long shadow of past abuse over the coalition’s proposals.

“People throughout Wales as well as experts on the pension system, and representatives of all the Welsh political parties have pledged their support. David Jones and his colleagues still have a chance to make good on the fine words.”

Labour Shadow Welsh Secretary Owen Smith said: “I’m very concerned about the government’s decision to permanently change the uprating of the ASW scheme by CPI rather than RPI. This will mean the value of ASW workers’ pensions eroded over time so they receive less than the 90% they thought they could expect when Labour set up the Financial Assistance Scheme.”

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